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UTAS secures long-term tenant for its empty former Midcity Hotel

More than three years after being purchased by the University of Tasmania for student accommodation, a CBD hotel will soon be welcoming tourists again. TAKE A LOOK INSIDE >>

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AFTER sitting empty for two years, the former Midcity Hotel in Hobart will soon be bustling with guests as new operators take up a five-year lease from building owner the University of Tasmania.

The new Pure T Hotel, operated by the Vision Hotels group, will open on Wednesday and has already reported strong bookings as travellers make a return to Hobart for summer.

“The relaunch of this property is a significant milestone that signals a new vision for the area and for Tasmanian tourism in the exciting post-lockdown season ahead,” said Brendon Deeley, director of Vision Hotels and owner of Pure T (Pure Tasmania) Hotel.

Rooms have been refitted and restyled ahead of this week’s opening.

The Pure T Hotel will be opening on Wednesday. Picture: Supplied
The Pure T Hotel will be opening on Wednesday. Picture: Supplied

The Midcity hotel was purchased by the University of Tasmania in 2018 to increase its student accommodation base but when the Covid-19 pandemic hit, the demand for fell away sharply.

“The building was purchased by the university in response to unprecedented demand for student accommodation in 2018 but has, because of the impact of Covid-19, not been utilised for that purpose for some time,” a UTAS spokesman said.

Rooms have been refitted and restyled ahead of this week’s opening.
Rooms have been refitted and restyled ahead of this week’s opening.

The university launched its search for a long-term tenant in August, with Vision Hotels signing a five-year deal.

“Vision Hotels has three hotels in Launceston, we also have the Scamander Hotel,” Mr Deeley said.

“Hobart’s been the missing piece of the triangle for us.”

Mr Deeley said the opening came just in time for summer and ahead of the reopening of borders.

He said bookings were already flooding in.

“We’ve been up for sale online for bookings and over the phone in the past week and we’ve never experienced anything like it in terms of the bookings we’ve had,” he said.

“We’re not booked out yet, we still have plenty of rooms for schools holidays but bookings are getting tight for Christmas, New Year’s and the first week of January.”

Vision Hotels has signed a five-year lease on the property.
Vision Hotels has signed a five-year lease on the property.

Mr Deeley said Vision Hotels had made several changes.

“We’ve spent up big on new items, we had to redo and restyle the rooms,” he said.

“We still have work we’re doing at the moment, just getting the rooms restyled soon.”

The University of Tasmania said it did not foresee any problems meeting the demand for student accommodation while Vision Hotels held the lease.

“The University of Tasmania is delighted to have found an operator to take a five-year lease for the former Midcity Hotel,” a spokesman said.

“We commissioned the new Melville St student apartments earlier this year and, as a result, we have all the capacity we need for Tasmanian, interstate and international students.”

Brendon Deelay said Vision Hotels had “spent up big on new items”.
Brendon Deelay said Vision Hotels had “spent up big on new items”.

Mr Deeley said the business would be open to a longer stay.

“In five years, if they decide that, UTAS will take over the property, they’ll restyle it and repurpose it,” Mr Deeley said.

“Or they may continue to work with us and keep it as a hotel.”

judy.augustine@news.com.au

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Original URL: https://www.themercury.com.au/business/tasmania-business/utas-secures-longterm-tenant-for-its-empty-former-midcity-hotel/news-story/2e779bdb6fdb6a7c1b63d87397e24474